Homeserve today shrugged off the prospect of a large fine from the City regulator as overseas growth boosted profits during the first half of the year.

The emergency repairs group, which provides cover for household problems such as broken boilers, said a Financial Services Authority probe into whether it mis-sold products to customers remained ongoing.

The company said it had not set aside money to cover a potential fine or even the costs of the FSA investigation. However, it said restructuring costs linked to “sales and marketing, controls and governance and complaints handling” in the UK were likely to be about £24 million.

Pre-tax profits rose 5% to £19.1 million in the six months to September 30, with revenues up 8% to £229.6 million. The figures were driven by higher customer numbers in areas such as Spain and the US.

Chief executive Richard Harpin said: “HomeServe is making progress in transitioning its UK business to a smaller, more customer-focused operation and has delivered good growth in its international businesses.”

The shares rose 7.5 to 230.5p. Analysts welcomed the results, but said shareholder interest was probably linked to private-equity interest in the group.